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Timeshare Reform Bill Targets Hidden Costs and High-Pressure Sales Tactics

Consumer Complaints Drive New Legislative Effort

A bipartisan group of lawmakers is seeking to bring greater transparency to the timeshare industry through new federal legislation aimed at protecting consumers from hidden fees and misleading sales practices.

U.S. Senators Adam Schiff (D-California) and John Curtis (R-Utah) have introduced the Timeshare Pricing Transparency Act (TPT), a proposal that would require clearer disclosures and stronger safeguards for prospective timeshare buyers.

The measure comes amid growing concerns over consumer complaints involving escalating maintenance costs, unclear contract terms, and difficulties exiting ownership agreements.

Lawmakers: Buyers Need the Full Picture

Supporters of the legislation argue that consumers are too often asked to make major financial commitments without receiving a complete understanding of the long-term obligations involved.

Senator Schiff said purchasers should never be surprised by fees or contractual conditions that were not clearly explained before signing.

“Americans deserve to have all of the information they need upfront, before entering any timeshare commitment, including any potential surprise fees or contract terms,” Schiff said.

Curtis described the bill as a straightforward effort to ensure honesty in the marketplace.

“Our bill is about honesty, transparency, and basic consumer rights,” he said, adding that families should not be pressured into decisions through deceptive sales tactics or artificial time constraints.

Industry Challenges Under the Spotlight

Timeshares remain a popular vacation ownership product, attracting millions of buyers each year. However, many purchases take place in resort settings where consumers may encounter intensive sales presentations while travelling.

According to lawmakers backing the bill, owners frequently discover after purchase that ongoing costs are higher than expected, maintenance fees can increase over time, and relinquishing ownership is often more difficult than initially represented.

The result has been a steady stream of consumer complaints and widespread dissatisfaction among owners. Estimates cited by supporters of the legislation suggest that roughly 85 percent of timeshare purchasers ultimately regret their decision.

AARP Backs Stronger Protections

The proposal has received support from AARP, which says older Americans are particularly vulnerable to financial losses linked to timeshare transactions.

Bill Sweeney, Senior Vice President of Government Affairs at AARP, pointed to FBI data showing that timeshare fraud resulted in more than $50 million in consumer losses during 2024.

He said the legislation would provide consumers with the information and time needed to make informed decisions, helping them protect savings accumulated over many years of work.

What the Timeshare Pricing Transparency Act Would Do

If enacted, the legislation would establish several mandatory consumer protections for all timeshare agreements.

Among the key requirements:

Comprehensive Cost Disclosure – Buyers would receive a single document outlining all acquisition and maintenance expenses.

Fee Transparency – Companies would be required to identify fees that may change in the future and explain how owners will be notified of increases.

Exit Information – Contracts would need to clearly set out available options for ending ownership.

Cooling-Off Period – Consumers would be granted 14 days to cancel a purchase without penalty.

Independent Review Time – Buyers would have an opportunity to review agreements privately before making a commitment.

Enforcement authority would be assigned to the Federal Trade Commission, which would also be empowered to issue additional regulations if needed. The bill would not override stronger state-level protections, allowing states to continue adopting tougher consumer safeguards where they exist.

Expert comment – Sharon Johnson, spokesperson for leading timeshare exit firm Timeshare Advice Center commented: “This bill is definitely a step in the right direction and, should it pass into law, will provide long overdue protection for timeshare owners.”

“Anyone currently having issues trying to escape an unwanted timeshare ownership should seek expert advice about their options.”